Timeline for Buying a Home

So the apartment life is getting you down. The rent is rising and the walls are closing in. Interest rates, as long as they are single digit, are still looking good. Your brother just bought his first home and won’t stop talking about it. It’s time to take the plunge.

When you start out on your home buying journey, the process feels a bit overwhelming. If it’s your first purchase, you may not know where to start. If you haven’t bought in awhile…..things have changed!

Most mountains are climbed one step at a time, so let’s break it down.

Touring homes is fun. I’m the realtor, so I get to be the fun part of the process. The important part of the process is your loan. No Loan = No Home.  Lending programs have changed and continue to change in this volatile housing market. Programs that were available a few months ago don’t exist today.  So let’s make sure you have a loan.

Step one:
• Get a pre-approval.  You must work with a good, reputable lender who is working always in your best interest. Your loan officer will have access to a variety of lenders, shop your loan, and always, always, answer any questions you might have.  You should understand your loan.

Your lender will talk to you about your maximum loan amount, but you always determine your “comfort zone.”   In other words, you may qualify for a $250,000 home, but just think that the payments would be more than you want to make on a monthly basis. You may feel more in the “comfort zone” of closer to a $200,000 mortgage. Neither your lender nor your agent should EVER push you outside of that zone. We’ll give you the numbers and the options.  You are the final arbiter of how much you will spend up to the maximum approved loan amount.
Step two:
• Find an agent. Ok….that’s me, in case there were any questions here. As a partner in the RealCincy Group with RE/MAX Unlimited, I am fortunate to partner with 3  wonderful full-time agents.  My husband Randy Hibbard can help you if you want to explore homes in Kentucky.

Step three:

• I know that going out and looking at homes is the fun part. I like that part the best. But….I really believe that knowing what to expect once you find “the one” takes off the pressure, and makes it easier to make that first offer. It only takes 15 – 20 minutes  to get a brief overview of the purchase contract, discussing each paragraph, and breaking it down in to terms you can understand vs. “legal-speak.”   We’ll talk about the home inspection process, your rights and obligations, the seller’s rights and obligations.   We will review the disclosures that you can anticipate seeing from the seller, including the Ohio Property Disclosure, the Lead Based Paint Disclosure if applicable, and any Affiliated Business Disclosures.

Once we have toured homes and you have selected your new home, we make an offer to the seller. We’ll talk about the process specific to your situation while we’re working together. Once we have an accepted contract, meaning buyer and seller agree on terms,  this is an overview of what happens:

• You order your home inspection.
• Your appraisal will be ordered by your loan officer.
• It’s time to purchase your homeowner’s insurance. Your current auto and renter’s insurance carrier is a good place to start for quotes. You will need to have purchased the 1st year’s coverage prior to closing.
• Loan commitment Date – There is a date in the contract by which we must notify the seller that your loan is complete and ready to go!
• Closing Date and time is set
• It’s now time to make calls to the utilities. Gas & Electric, water, trash, cable, etc
• Closing Day!!!
See…..that wasn’t so difficult. You’re now enjoying the wealth building, tax advantages of homeownership!